Problems sending External mail through a smart Host

I have an Exchange 2003 server I have another server which I am useing as a Smart Host I have configured this for emails to be sent and recived from this Smart Host , my problem is I can recieve incoming mails but I cannot send mails out when I send emails I get the following message I have configred the SMTPC to forward all mails to the Smart Host.

Your message did not reach some or all of the intended recipients.

      Sent:      27/04/2005 12:46

The following recipient(s) could not be reached: on 27/04/2005 12:46
            You do not have permission to send to this recipient.  For assistance, contact your system administrator.
            <lonech01.IAS.LOCAL #5.7.1 smtp;550 5.7.1 Unable to relay for>

Please can you help
Who is Participating?
Configure your smart host to allow Exchange to relay through it.
ikm7176Sr. IT ManagerCommented:
collinRoyds is right.

Allow your exchange server's IP address in the Relay settings of your Smart Host.
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